Heavy clothes will look good, But GST will pinch the pocket

Chhatrapati Sambhajinagar: With the shopping season in full swing for Dussehra, Diwali, and upcoming weddings, buyers are actively hunting for clothes. However, due to the central government’s new GST slab revisions, clothing prices will see a significant impact. Clothes priced up to ₹2,500 will be available at lower rates, but for items beyond that, the tax burden will increase. This will particularly pinch buyers purchasing branded, designer outfits for weddings and festive occasions.

What Has Changed?

Only 5% tax on clothes up to ₹2,500 (providing relief to middle-class consumers).

GST on clothes above ₹2,500 increased from 12% to 18% (branded and designer clothes will become more expensive).

Branded and designer clothes will become costlier, hitting fashion enthusiasts’ wallets.

Couples will need to spend more on wedding shopping, putting pressure on budgets.

Shoes will also see differential taxation 5% GST for shoes up to ₹1,000, and 18% GST on shoes priced above ₹1,000.

“Our store sees the highest demand for branded clothes. With the price hike, buyers will think ten times before purchasing. How it will impact overall sales, we will only know in the coming days,” said cloth merchant.

Due to the GST increase from 5% to 18% on shoes, sales of footwear priced between ₹1,500 and ₹3,000 may decline, added Imran Shaikh, a vendor.